Arithmetic average return
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I purchased 600 shares of stock 5 years ago and have earned annual returns of 36.9 percent, 41.3 percent, 28.7 percent, 3.0 percent and 9.6 percent. What is my arithmetic average return?
1. 7.78%
2. 9.26%
3. 12.42%
4. 22.96%
5. 23.90%
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Solution Summary
This explains the steps to compute the arithmetic average return.
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